Thursday, November 29, 2007

Canadian Wireless Spectrum to be auctioned next May

Canadian Industry Minister Jim Prentice announced yesterday that there will be a wireless spectrum offer May 2008 with 40% being reserved for a new entrant into the market despite protest from Bell, Rogers and Telus who have all indicated a preference for a free competitive bid. Th resistance by the three current service providers is louder as they feel that the market is fully served and does not need a fourth competitor who is subsidized by the government. The Wireless Competition alliance formed by the Canadian Wireless Telecommunications Association (CWTA) had launched a website months ago to present their case to the Canadian public, however the government has decided to go ahead with the promised policy.

What will be the outcome of this auction? Will Quebecor Media Inc finally move into the wireless market?